Pending IOCs Divestment: Petroleum Producers seek quick conclusion

The Independent Petroleum Producers Group (IPPG) has called for a quick conclusion of all the pending International Oil Companies (IOCs) Divestment Transactions in the Country.

IPPG Chairman, Abdulrazaq Isa made the call at the ongoing 2024 Nigerian Oil and Gas (NOG) Energy Week on Tuesday in Abuja.

The 2004 NOG Conference, scheduled to hold from June 30 to July 4, has the Theme: “Showcasing Opportunities, Driving Investment, Meeting Energy Demand.”

Isa said the IPPG believed the timely approval of these IOCs Divestment Transactions would be a clear signal capable of restoring Global Investor confidence in Nigeria.

“IPPG strongly advocates that our Member Companies – Seplat, the Renaissance Consortium and Oando – have the proven track record to successfully take over and manage these Onshore and Shallow Water Assets.

“The Assets will realise incremental Production in the region of 100,000-200,000 Barrels of Oil and over 1.5 billion cubic feet (bcf) of Gas per day within 24 months and well over 500,000 Barrels of Oil per day in the Long Term.

“IPPG believes the timely approval of these IOCs Divestment Transactions will restoring Global Investor Confidence in Nigeria in an Era of competing Global Investment Destinations in Africa and very limited access to Capital,” he said.

He also  underscored the need to address Deepwater Development and Production.

According to him, untangling Issues around Deepwater Development, particularly in terms of Competitive Fiscal Regime being negotiated with Shell, Total Energies, ExxonMobil and Chevron, will unlock incremental Production of 700,000bpd in the Short to Medium Term.

He said that enabling Deepwater Development would attract significant Economic benefits as Nigeria has one of the World’s largest untapped Deepwater Resource Base.

The IPPG boss also called for the adoption of a National Value-Retention Strategy, adding that Nigeria’s Domestic Crude Oil Refining and Petrochemical Capacity must be sustained primarily from our Domestic Crude Production.

Credit NAN: Texts excluding Headline